Crude prices traded choppily through the session as traders weighed conflicting signals from the Middle East and Russia against a softer than expected build in US inventories.
Sentiment shifted through the day, with talk of progress on a Strait of Hormuz arrangement pulling prices lower before reports of stalled Ukraine peace efforts and possible fresh Russian strikes helped both benchmarks pare losses
Vessel transit data through the strait remains well below pre-war levels, a reminder that any easing of the geopolitical premium is not yet reflected in actual shipping flows. With the smaller than anticipated crude build alongside larger draws in gasoline and distillates, the market is still finding some support from the demand side even as the supply risk narrative softens. — Oil eased as hopes for a Hormuz shipping deal outweighed a smaller crude build and simmering Russia-Ukraine risk. Summary: Brent settled down around 75 cents, or circa 0.8%, to about $88 a barrel; WTI settled down about 15 cents, roughly 0.2%, to around $82 US crude inventories rose by a modest amount last week to about 429 million barrels, well below the increase analysts had expected, per EIA data Iran and Oman are finalising details of an agreement to share the Strait of Hormuz waterway and its revenues, though a senior Iranian official said it is not yet finalised Vessel transits through Hormuz have fallen to roughly a third of the recent ten-day average and remain far below pre-war levels Russia’s NORSI refinery halted crude processing after a Ukrainian drone strike, while reports suggested Moscow may be weighing escalated missile strikes on Kyiv A US senator said he expects a sanctions bill targeting Russia to clear the House next month Oil prices settled lower on Wednesday after a choppy session in which investors weighed progress in talks between Iran and Oman over the Strait of Hormuz against a smaller than expected rise in US crude stockpiles.
Brent crude futures fell to settle at